Former MP and estate agent in row over Sh79m
What you need to know:
- The estate agent is accusing the MP of breaching a contract that entitled him the commission after the sale of the vast coffee farm to Milele Ventures Ltd, a company associated with PCEA Kambui Presbytery of Ruiru.
- “To my knowledge, none was reached to engage the services of any person as a commission agent,” says the former MP in a sworn witness statement.
Former Kiambaa MP Stanley Githunguri is embroiled in a legal tussle with a land broker who claims he oversaw the sale of 790 acres to the PCEA in Kiambu County for Sh1.2 billion.
Mr Francis Njuguna, the managing director of Propensity Properties Consultants, wants the court to order the former lawmaker to pay him the agreed Sh79 million agency fees or alternatively deposit the money with the court pending determination of the dispute.
The estate agent is accusing the MP of breaching a contract that entitled him the commission after the sale of the vast coffee farm to Milele Ventures Ltd, a company associated with PCEA Kambui Presbytery of Ruiru.
Mr Githunguri has, however, denied owing the agent or his consultancy firm the commission, saying he secured the buyer of the two parcels of land through Tassia Coffee Estate Ltd.
“The property was fully owned by Tassia Coffee Estate and I required approval through a resolution of the company.
Sell two parcels
“To my knowledge, none was reached to engage the services of any person as a commission agent,” says the former MP in a sworn witness statement.
Tassia is a company linked to the former MP.
He argues in court papers that he never issued instructions for Mr Njuguna or his company to sell the two parcels, measuring 510 acres and 280 acres, saying the issue regarding the transaction was strictly between Tassia and Milele Ventures.
But Mr Njuguna contends that he was approached by the former MP, as the chairman of Tassia Coffee Estate, who prevailed upon him to secure a buyer of the property.
He said he struck a deal with the PCEA Kambui Church, which agreed to buy the 790 acres for Sh1.3 million an acre, upon which he was to receive Sh100,000 as agency commission per acre.
Mr Njuguna is urging the court to issue orders directing Mr Githunguri to deposit Sh79 million before transfering the property to Milele Ventures.
Further, the agent wants the court to restrain the business tycoon and Tassia from transferring the two parcels pending the hearing and determination of the dispute.